The crisis in the Strait of Hormuz triggered a surge in freight rates, with European futures soaring by over 12% in a single day

      Recently, the navigation order in the Strait of Hormuz has been disrupted, and the efficiency of past shipping vessels has significantly decreased. To avoid the risk of passage, a large number of ocean going container ships and cargo ships were forced to divert around the Cape of Good Hope route in Africa. The route mileage has significantly increased, coupled with the losses caused by the extended range, the overall fuel cost of the industry has skyrocketed by nearly 70% year-on-year, and the operational pressure on shipping companies has sharply increased.

      Affected by multiple factors such as route changes and rising costs, the shipping market experienced significant fluctuations on June 1st. The 2607 futures contract for the Asia Europe consolidated shipping route saw a significant increase during the trading session, with a rise of over 12% at one point. The shipping sector in the secondary market has strengthened along with the trend, with Ningbo Shipping's stock price hitting the daily limit up, and top shipping listed companies such as COSCO Shipping also experiencing significant gains.

      Faced with changes in costs and market conditions, leading shipping companies around the world have introduced price adjustment plans. International shipping giants such as Maersk Line, CMA CGM, MSC, and Hapag Lloyd have announced a comprehensive increase in basic freight rates for major global trade routes such as Asia Europe and the United States starting from June, and have also added peak season surcharges. The price adjustment this time is significant, with a total increase of over $1200 in single container freight and surcharges, resulting in higher costs for foreign trade shipments and cross-border logistics.